(Bloomberg) -- Southwest Airlines Co. said third-quarter sales will take a $100 million blow from this year’s devastating hurricanes and earthquakes.
About 5,000 flights had been canceled through Wednesday because of the natural disasters, the carrier said in a statement Thursday. Southwest also pared its outlook for revenue from each seat flown a mile, saying the benchmark gauge would be little changed in the third quarter even in a best-case scenario. Previously, it said the figure would potentially increase “slightly.”
Related: Business continuity plans & technology help businesses weather Hurricane Harvey
|Natural disaster compounding other problems
The natural disasters are compounding other problems that have weakened the financial outlook at U.S. airlines recently, including fare battles, higher fuel costs and feeble demand for pricey, last-minute tickets. Delta Air Lines Inc., United Continental Holdings Inc. and American Airlines Group Inc. all lowered their revenue estimates earlier this month.
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